Mercedes-Benz and ByteDance are broadening their work on smart car technologies in China, including assisted driving and in-car artificial intelligence.
The agreement, struck between Mercedes-Benz China Investment and the TikTok owner, builds on a collaboration that began in 2023.
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A new electric CLA model featuring ByteDance’s AI will debut this autumn, according to Yicai.
The vehicle will integrate Doubao AI, described as a virtual assistant that can recognise dialects and detect emotions.
The model is expected to offer a driving range of 866 km and will include 11 airbags.
Initial cooperation centred on ByteDance’s Volcano Engine cloud services, with Mercedes integrating an app that aggregates ByteDance-owned platforms such as Xigua, Jinri Toutiao and Douyin.
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By GlobalDataIn 2024, the companies advanced to “intelligent cockpit AI exploration,” said Oliver Thöne, a board member responsible for China operations, adding that the two sides will now pursue collaboration across the full business chain to address rising demand for intelligent vehicles in China.
Consumer appetite for advanced features remains strong.
Data from the China Electric Vehicle 100 Forum indicates that 90% of consumers are prepared to pay more for intelligent driving capabilities, with 30% willing to spend an additional 10,000 yuan ($1,403).
The partnership aligns with Mercedes-Benz’s localisation strategy in its largest market, where the company has developed an extensive research and development network—its most significant hub outside Germany.
Separately, Mercedes is reportedly planning to acquire a minority stake in Chongqing Qianli Technology, a developer of autonomous driving systems, as it looks to strengthen software capabilities in China.
Qianli, valued at about 59.5 billion yuan, has become a focal point for Zhejiang Geely Holding Group’s autonomous driving assets.
Geely, a key backer of Qianli, has played a role in facilitating discussions between Mercedes-Benz and the Shanghai-listed firm.
